Business ExpansionFund-Based

Institutional Capital Structuring for Greenfield & Expansion Projects

Comprehensive non-recourse or limited-recourse project syndication for greenfield factories and expansion units. Specially structured for Indian growth enterprises and mid-market corporates requiring debt funding from ₹1 Cr to ₹500 Cr.

Target Quantum₹10 Cr – ₹500 Cr
Facility Tenor7 to 12 years
Facility NatureFund-Based
Lender Network50+ Banks & NBFCs
PRODUCT OVERVIEW

Project Finance

Greenfield industrial plants, warehouse parks, cold storage facilities, and massive manufacturing expansions require institutional project debt structured on the cash-flow generation potential of the project itself.

Unlike corporate balance-sheet lending, Project Finance involves complex risk allocations: construction risks, commercial commissioning delays, interest during construction (IDC), debt-equity ratios (typically 2:1 or 3:1), and Trust & Retention Accounts (TRA).

SME PAISA acts as your outsourced project finance syndication team, preparing bankable Detailed Project Reports (DPR), coordinating Techno-Economic Viability (TEV) studies, and syndicating consortium credit across prime public sector and developmental finance institutions.

Key Strategic Benefits

High-quantum capital from ₹10 Cr to ₹500 Cr+ aligned with major industrial investments
Extended construction moratoria (12 to 24 months) so repayments begin only after revenue flows
Long-term amortization up to 15 years keeping debt servicing well within project DSCR limits
Integration of state capital subsidies, PLI incentives, and interest subvention benefits
Facility Architecture

Project Finance

Structured specifically to avoid cash-flow bottlenecks and optimize borrowing costs.

Security Type:Project escrow account, DPR benchmarks & mortgage
Tenor Horizon:7 to 12 years
Advisory Model:100% Conflict-Free
EXECUTION BLUEPRINT

How This Facility Operates

From initial diagnostic appraisal and credit memo preparation to multi-lender syndication and seamless disbursement.

01

Detailed Project Report (DPR) & TEV Study

We draft comprehensive project reports covering civil engineering, plant capacity, market demand, financial viability, and sensitive break-even models.

02

Debt-Equity Structuring & IDC Modeling

We structure optimal 70:30 or 65:35 debt-equity ratios, budgeting Interest During Construction (IDC) to prevent promoter cash strain before commercial operations.

03

Consortium & Lead Bank Mandate

We secure a lead underwriting bank and syndicate participation shares across public and private sector banks in an organized consortium.

04

Milestone-Linked Tranche Disbursements

Funds are drawn down in tranches linked to chartered engineer physical progress inspection certificates until full plant commissioning.

CRITERIA & CHECKLIST

Eligibility & Documentation Checklist

Standard underwriting criteria across our network of 50+ scheduled commercial banks and institutional NBFCs.

Primary Eligibility Norms

BENCHMARKS
Audited Turnover:Parent company turnover of ₹15 Cr+ or viable SPV backed by credible promoters
Business Vintage:Proven promoter execution track record in the relevant industrial sector
Promoter Bureau Score:700+ for key promoters and corporate guarantors
Borrower Entity:Pvt Ltd, Public Ltd, LLP, Partnership, Sole Proprietorship
Assessment Mode:Cash Flow Normalization & Balance Sheet Strength
Advisory & Structuring Note:

Even if your financial ratios fall slightly outside conventional bank parameters, our credit advisory team structures mitigating covenants, secondary collateral, or multi-banking facilities to secure approvals.

Required Documentation Checklist

48-72 HRS

Keep these documents ready to fast-track your proposal review within 48 to 72 hours:

Detailed Project Report (DPR) and Techno-Economic Viability (TEV) study
Land purchase title deeds / government industrial authority lease allotment letter
Statutory environmental clearances, pollution control consent, and building approvals
OEM equipment supply contracts and civil engineering cost estimates
QUANTITATIVE ADVISORY ENGINES

Calculate Limits & Financial Costs

Use our proprietary financial calculators to simulate borrowing capacity, drawing power, and debt service coverage before submitting to credit committees.

Interactive Calculator

Expansion Project Cash Flow & Payback

Simulate facility parameters, cash flows, and interest outgo.

Launch Calculator
Interactive Calculator

Project Cost Escalation & Contingency

Simulate facility parameters, cash flows, and interest outgo.

Launch Calculator
Interactive Calculator

Internal Rate of Return (IRR) Sizing

Simulate facility parameters, cash flows, and interest outgo.

Launch Calculator
Interactive Calculator

DSCR & Debt Service Coverage Diagnostic

Simulate facility parameters, cash flows, and interest outgo.

Launch Calculator
THE SME PAISA ADVANTAGE

Why Corporates Trust Our Structuring Desk

We do not lend from our own books. Our sole mandate is generating competing term sheets from 50+ banking partners to deliver lowest borrowing costs.

50+ Lending Partners

Direct access to credit committees across India's premier public sector, private commercial, and specialized NBFC lenders.

Multi-banking & consortium syndication
Rate benchmarking saving 75 to 150 bps
Fast-track credit appraisal & sanctions

100% Conflict-Free Pure Advisory

We do not lend from our balance sheet or operate with lender-biased volume targets or hidden commissions.

Unbiased institutional shortlisting for client benefit
Transparent advisory fees with zero hidden costs
Optimized debt profiles preventing debt traps

Government Scheme Maximisation

Integrating PLI, CGTMSE credit guarantees, TReDS, and Priority Sector lending benefits into your credit structure.

Collateral-free CGTMSE guarantee structuring
TReDS onboarding for instant invoice discounting
State capital subsidies and interest subvention

End-to-End Execution till Drawdown

Hands-on management from initial financial diagnostic through to term sheet sanction, security creation, and fund disbursement.

Institutional Credit Memo & CMA preparation
Direct negotiation of covenants & pricing
Dedicated corporate finance specialist assigned
FREQUENTLY ASKED QUESTIONS

Questions About Project Finance

Key operational, structural, and regulatory details for this credit facility.

Most institutional lenders require a debt-to-equity ratio between 65:35 and 75:25. Highly viable projects with government land allotment or PLI approvals can achieve up to 80:20 gearing.
Advisory Mandate

Structure your Project Finance with optimal pricing.

Speak directly with our debt syndication team to structure your facility across our 50+ banking partners.

Ready to Access the Right Funding Solution for Your MSME?

Share your business details - our advisory team will map the right capital structure and connect you with the right partners, fast.

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